Business

October 28, 2013

Saab partners on bid for $2 billion Close Combat Vehicle Program in Canada

Saab and ABB is partnering with BAE System in a competitive bid for the Department of National Defence $2 billion Close Combat Vehicle program.

The Canadian Army requires high survival medium weight vehicles for future missions. The bid includes a total of 108 vehicles along with an option for the purchase of an additional 30 vehicles.

A significant portion of the vehicle will be manufactured in Canada through the government’s Industrial Regional Benefits program. IRB policy requires business activity in the Canadian economy equal to 100 per cent of the contract value.

Saab has named ABB Analytical to source, supply and produce an electro-optic control system. This program that will have important impact on the local economy, creating about 50 jobs for ABB and sub-contractors located in the provinces of Quebec and Ontario as well as extend economic value across Canada.

“The Saab model ensures job maintenance for engineering and technical staff as well as the creation of new jobs. Producing in Canada will provide stability to the site and will allow ABB Analytical Measurements to increase its contribution to the local aerospace sector in the province of Quebec, Canada,” confirmed Marc-Andre Soucy, director of the Remote Sensing Industry at ABB Analytical Measurements.

In Canada Saab has been executing IRB obligations for about 25 years, and to facilitate the IRBs, as well as provide service and support capabilities Saab has established three companies across the country in Dartmouth, Ottawa and Ralston and add to that the lately acquired Klein Systems Group Ltd in British Columbia.

“With the CCV program Saab is continuing to grow and invest in Canada,  and in order to be ready for the start of the program, Saab has already transferred its technology to ABB creating opportunities, for the Canadian industry into major worldwide procurement programs, ” says Patrick Palmer, Executive Vice President of Sales and Marketing Saab Technologies Canada, Inc.

For ABB and its Canadian partners, this project represents an important springboard for future expansion of existing capacity as well as collateral benefits for other markets. As a key industrial partner to SAAB, ABB long-term benefits arising from expanded capabilities and introduction to new business areas has a direct impact on its local community.

“The $2 billion IRB program requires 100 per cent Canadian content, and some 50 Canadian Companies from coast to coast are expected to be part of the BAE Systems team and technology transfer during acquisition and the In-service Support phase delivers a significant number of high quality jobs for Canada.” Said Mikael Segerman, Sales Director Canada, BAE Systems Hagglunds.




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